The 7 Functions of Marketing!. The Core of Marketing. The 7 Functions of marketing are the basis for all marketing activities Each function occurs every time a product or service is developed and sold. Businesses provide many of the marketing functions.
The Core of Marketing The 7 Functions of marketing are the basis for all marketing activities Each function occurs every time a product or service is developed and sold. Businesses provide many of the marketing functions. Consumers often take part in one or more of the marketing functions when they make purchases.
Financing Financing is budgeting for marketing activities, obtaining the necessary funds needed for operations, and providing financial assistance to customer so they can purchase the business' products and services Requires a company to budget for its own marketing activities.
Financing Customers must have the resources and methods to pay for their purchases. Businesses must receive timely payments so they can continue to operate.
Financing Customer Financing Customers may receive financing in the form of different payment options, such as cash, credit, and installment payment More options = More purchases
Marketing Information Management This function consists of obtaining, managing, and using market information to improve business decision-making and the performance of marketing activities. It also includes marketing research (or collection information) and the development of databases with information about products, customers, and competitors. (This is used to determine customer demographics, buying habits, and attitudes )
Marketing Information Management Successful marketing involves using marketing info to predict consumer demand and estimate the right quantities of merchandise. If the Texans are in the Super bowl, how many jerseys and caps will we need to order, and in what sizes?
Marketing Information Management When Domino’s first considered expanding operations into Japan, it used its Marketing research findings to adapt its traditional pizza to Japanese tastes. Did you know… They offered nontraditional topping on the pizza in Japan such as corn and tuna because of local preferences.
Pricing The process of establishing and communicating to customers the value of cost of goods and services Customers must be able to easily identify the price of items that interest them or they will move on to another choice. Prices assigned to sports and entertainment events and goods are directly related to consumer demand Consumers want to know that they are getting a fair value for the money they are spending. Prices must be set low enough that customers are willing to pay but high enough that the business makes a profit.
Pricing Super Bowl ticket prices go through the ceiling since there are limited number of tickets and enormous demand
Product/Service Management *See how the Coca-Cola bottles have changed with the times and with customer’s needs and wants! Obtaining, developing, maintaining, and improving a product or product line to respond to customer needs/wants Producers and manufacturers develop new products. Other businesses are also involved in product/service management when they obtain products for resale. Services are created and provided by the employees of service businesses.
Promotion Any form of communication used to inform, persuade, or remind people about a business’s products Nationals Free baseball hats, bobble heads, t-shirts, etc are given away at a baseball game
Promotion Promotion is communicating information about products and services to potential customers. Advertising and other promotional methods are used to encourage consumers to buy. Advertising may occur in a variety of ways - television, newspapers, magazines, radio, direct mail, and the Internet. Other methods include contests, product displays, sponsorships, and public relations activities.
Selling Any direct and personal communication with customers to assess and satisfy their needs and wants is considered selling Selling involves not only satisfying customers but also anticipating their future needs Selling is also performed using a telephone or other technology such as instant messaging or video conferencing to communicate directly with a customer.
Distribution Distribution involves determining the best ways for customers to locate, obtain, and use the products and services of an organization. Making decisions about where to sell the product and how it gets there. Careful shipping, handling, and storing of products are needed for effective distribution.
Distribution Distribution in Entertainment Distribution in Sports Selecting the right location for an event and making tickets available through ticket sales outlets Involves getting equipment to stores where customers buy it
Extra Credit List the seven marketing functions (you may use your notes for this questions) Which of the seven functions do you understand? List those functions with a short definition, in your own words. Next, list the marketing functions that you don’t quite understand and explain why that function or functions is confusing?